Lang Biz Tips July 2024

So, What’s going on in the barbecue industry?

It’s always of great value to know what is going on in your industry. Here are a few facts and figures you will find valuable.

  • Around 68% of restaurants which include BBQ on their menu provide at least a single dish served with a chicken, while pork followed with 37%. (The National Provisioner).

 

  • Mintel International’s Menu Insights (MMI) stated that BBQ has gradually grown in popularity among restaurants, increasing by 11% from the 4th quarter of 2016 through the 4th quarter of 2019. (The National Provisioner).

 

  • Boneless chicken wings are one of the menu dishes with BBQ sauces gaining popularity growing 32%, followed by chicken wings up by 13%, barbecue pizza also up by 13%, and bacon burgers by 4%. (The National Provisioner).

Leading BBQ Trends Regional Flavors.

 

  • As regional cuisines gain popularity, so are BBQ flavors originating with a specific region. These regional flavors can be broken into micro-regions, say Memphis sauce (tomato-and-vinegar-based with a dash of sweetness), Kansas-style sauce (made sweet with molasses), and Texas-style sauce (typically spicy). (Bay Area BBQ Islands)

 

  • Smoking Remains a Trend.  It doesn’t only add a sensual feel with its exciting table presence, but also gives a savory taste among the popularity of plant-based cuisines. (Bay Area BBQ Islands).

 

  • Plant-Based. Today’s health-conscious lifestyle has changed the way people are choosing what they eat. More people are now shifting away from meat in favor of plant-based ingredients. This trend is seen to focus on high-grade farming which yields toxic-free and sustainable ingredients.

 

  • Flavored Pellets. Ordinary pellets added with aroma are sure to beef up your senses each time you grill. Traeger, a known pellet grill brand, offers a unique assortment though you may also try exploring various mixes that best soothe your taste.

 

  • Double Fuel Grills. These are not your typical wood and charcoal combination, but a fusion of two completely different fuels which uses both charcoal and gas, adding a smokey aroma to your grill. It’s like grilling with clean gas, with an old-school touch of a charcoal grill.

Which segment accounted for the largest barbeque grill market share? 

North America region dominated the global barbeque grill market with a share of 57.4%. This is attributable to the barbeque grill being a part of the lifestyle in countries like the U.S. and Canada wherein consumers prefer barbeque food on most celebrations and festive occasions.

The global barbeque grill market size was valued at USD 5.01 billion in 2023 and is expected to grow at a compound annual growth rate (CAGR) of 4.9% from 2024 to 2030. Changes in lifestyle and eating habits among young consumers along with the growing trend of outdoor parties and social gatherings have increased the demand for low and slow-cooked barbeques, such as brisket, pork shoulder, and pork ribs. This factor is anticipated to contribute to the growth of the industry in the upcoming years. Unlike all the other products, the barbeque grill didn’t face severe impact due to the pandemic.

Restaurants being closed or difficult to get into along with lockdowns mandated by governments around the globe, more people started cooking at home. According to Hearth, Patio & Barbeque Association (HPBA) consumer research published in November 2021, 38% of all grill owners purchased a new grill in the past two years. Of those who purchased in 2020, 27% did so as they were cooking at home more due to the pandemic.

With changing consumer preferences and tastes, restaurants are trying to bring innovative and new dishes to the plates. Earlier, most of the restaurants used to only provide barbeque chicken, seafood, and vegetable, however, now, restaurants have started providing barbeque beetroot, and sweet potato as well as those items which were previously only consumed boiled.

According to Chicago-based Mintel International’s Menu Insights (MMI), barbeque is growing significantly in hotels and restaurants, with overall barbeque menu items increasing 11% from the Q4 of 2016 to the Q4 of 2021.

The number of quick-service restaurants and eateries continues to grow on account of changing consumer eating habits. Moreover, the number of barbeque restaurants and their popularity continue to increase significantly. Owing to their hectic working schedule, most young consumers prefer eating at outside eateries and restaurants. Consumers, especially the young generation, like to taste and experiment with new and unique food dishes. And most barbeque restaurants are increasingly offering live cooking, extensive buffet spreads, vibrant ambiance, and great music, which is expected to favor the growth of the BBQ grill over the forecast period.

Additionally, rapid construction in the commercial segment, particularly the hospitality sector is expected to favor the growth of the barbeque grill industry. Increasing working performance in the hotel industry has resulted in a rise in hotel construction activities, especially in emerging economies of Asia Pacific including India. According to the report of ‘The Ultimate Indian Travel & Hospitality Report’ complied by Hotelivate in association with CAPA and WTTC India Initiative, the number of hotel rooms in India is projected to outgrow to 3.33 million by 2023 from 18,000 in 1995/96. This massive growth in the number of hotels is driving the demand for easy-to-cook barbeque grill equipment which not only brings the taste to the table but also health benefits leading to the growth of the market..

Market Concentration and Characteristics

The growth of the barbeque grill market can be attributed to increasing consumer spending on high-quality and designer grills owing to the growing preference for outdoor cooking and making a statement with backyard entertainment. However, the rapidly changing consumer preferences and needs encourage manufacturers to innovate, improve, and diversify their product offerings to meet the changing demands of consumers worldwide.

The barbeque grill market is witnessing companies focusing on strategic acquisitions to expand their presence overseas and reinforce their position in the market. Over the next few years, internationally reputed companies are likely to acquire small- and medium-sized companies operating in the industry in a bid to facilitate regional expansion.

In terms of application, the commercial segment dominated the global BBQ grill market while the household application is projected to grow at the fastest CAGR during the forecast period 2024-2030. The obsession with barbeques has become a global trend. During the beginning of the decade, only barbeque restaurants could be seen serving barbeque food. But with growing popularity, most dining places can be increasingly seen incorporating barbeques in their menu.

In countries including the U.S., Portugal, Brazil, the UK, Mexico, the Philippines, and South Korea, barbeque has become mass food, leading to higher adoption of barbeque grills.

Meanwhile, the growing love of consumers for barbequed food from emerging economies, including India, China, and others, is predicted to shape well the growth of the segment. A rise in glamping camping, and trekking activities is further expected to boost the demand for barbeque grills.

According to the study by Hearth, Patio, and Barbeque Association (HPBA), Almost two-thirds (64%) of U.S. adults own a grill or smoker while over 72% i.e. 7 in 10 Canadian adults own a grill or smoker. They enjoy cookouts on various occasions including 68% on Independence Day, 56% on Memorial Day, 56% on Labor Day, 42% on Father’s Day, and 29% on Mother’s Day.

Year-round grilling remains highly popular in these countries with 73% of owners grilling in the winter, 23% on Super Bowl Sunday, 13% on Thanksgiving Day, and 9% on New Year’s Day. Not only holidays but also birthday parties, camping trips, vacations, or tailgating at a sporting event are some of the other times of the year when Americans prefer to have barbeque-grill food. Cinco De Mayo serving barbeque and grills is a popular trend.

Some of the similar dishes consumed in Mexico are grilled shrimp tacos, Mexican BBQ chicken, grilled Chile salmon, carne asada, guacamole turkey burger, Mexican grilled steak salad, and grilled tofu torta. Beef, goat, pork, and chicken are the preferred meats for barbeques during parrilladas, a picnic-like event.

The Asia Pacific barbeque grill market is expected to grow at the highest CAGR of 5.9% during the forecast period. This growth of the market is attributed to the growing consumption of street food coupled with the rising popularity of barbeque grills in countries such as India, Japan, Korea, Philippines, China, Macau, Hong Kong, Singapore, Malaysia, Thailand, Indonesia, and Taiwan. Shaokao, Chuanr, Char-siu, Yakitori, Mongolian barbeque, Satay, and Filo are some of the popular grilled barbeque dishes in Asia including Southeast Asia.

The growing alternative of barbeque grills over pizza, burgers, and hot dogs in these countries is further supporting the growth of the market. Companies are investing in various projects including expansion and switching to cloud businesses to boost their revenue in this growing market.

For instance, India’s leading casual dining restaurant Barbeque- Nation Hospitality Limited launched its IPO (Initial Public Offering) in March 2020. The company experienced an increase in delivery business during the lockdown time in the country and therefore is planning for expansion. Till December 2020, the company has 147 Barbeque Nation Restaurants across 77 cities in India and 6 international Barbeque Nation Restaurants.

There may well be important points you can pick up from these industry trends to prepare you barbeque business as the world and trends and attitudes change. One thing doesn’t change and that’s the quality and productivity you have with a Lang Smoker, and that’s a proven fact. As you know, nothing is as consistent as change.

 

 

 

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